Caution is warranted when scalping in a bearish environment. Layering large long-term positions is not recommended at this time.
The just-in-time supply chain for semiconductor microchips fell into the abyss this week as China ordered power cuts to manufacturing facilities.
Do not be fooled into complacency because news cycle volatility is unprecedented and the price action can quickly break up or down.
The entire American economy revolves around advanced microchips that are manufactured in Taiwan.